Argosy Minerals Limited advised further progress at the Rincon Lithium Project, located in Salta Province, Argentina, with 83% of the total works now completed for the development of the 2,000tpa lithium carbonate production operation. The Company remains on schedule to achieve first production of >99.5% battery quality lithium carbonate product during third quarter-2022, following completion of construction works. The 2,000tpa production operation major works comprise three main phases of works, comprising design, construction and commissioning.

The design phase works (including engineering layout) are fully complete (100%); The construction phase works are 85% complete; Plant commissioning works (comprising raw materials procurement and recruitment & development of production operations team) are 22% complete. The construction phase comprises the process plant, equipment and associated installations, earthworks and site facilities (including additional camp development and associated site infrastructure), and expansion of the brine system (pumping station, plant settling ponds), with all works progressing on budget and schedule, with; earthworks/land movements completed (100%): 94% of site works completed (comprising site camp/accommodation, laboratory, office, and other works); brine system works completed (100%) (comprising pumping station and plant settling ponds works); 82% of the process plant completed (comprising plant equipment acquisition and plant warehouse works); and 85% of utilities and associated services (comprising vapour system, communication system and ancillary services works). The Company is progressing toward successfully developing the modular 2,000tpa operation and become a commercial battery quality lithium carbonate producer.

Current and recent construction works have concentrated on completing the on-site office and laboratory, equipment delivery and installation (including recent installation of the 14m press filters), electrical installation, camp accommodation expansion, and conducting initial commissioning works. Furthermore, the Company continues its team recruitment process and procurement of first-fill process reagents in preparation for production operations. In addition, in-house training programs for the production/operations team are being conducted - utilising the industrial scale pilot plant for production operations, where the lithium carbonate product produced will be sold to Argentina domestic customers for local market supply.

Upon completion of the construction phase works, the plant commissioning and production test-works, and ramp-up to 2,000tpa operations will proceed immediately thereafter, with first product expected during the next quarter.